01 December 2010

BRASIL: Mantegna To Slash Development Bank Spending By 50% To Lower Interest Rates.

BLOOMBERG/
     Brasil will cut funding for its state development bank, BNDES, by 50 percent in 2011 to help lower the world’s second-highest inflation-adjusted interest rates.
    Finance Minister Guido Mantega reports that Brasil's rates are second only to Croatia among 46 countries tracked by Bloomberg and is paying 965 basis points more to borrow locally than abroad. The country’s local debt even yields more than troubled Greece and Ireland. He says that is unacceptable.